Clean Energy (Consequential Amendments) Act 2011 (132 of 2011)

Schedule 2   Taxation amendments

Part 2   Amendments commencing at the same time as section 3 of the Clean Energy Act 2011 commences

Income Tax Assessment Act 1997

38   At the end of section 701-35 (after the note)

Add:

Setting value of registered emissions unit at tax-neutral amount

(5) If paragraph (2)(b) applies, the*value of the*registered emissions unit at the end of the income year that ends, or, if section 701-30 applies, of the income year that is taken by subsection (3) of that section to end, when the entity becomes a*subsidiary member is taken to be equal to:

(a) if the unit was*held by the joining entity at the start of the income year - the value of the unit at the start of the income year; or

(b) otherwise - the expenditure incurred by the joining entity in becoming the holder of the unit.

Note: See also section 701A-7 of theIncome Tax (Transitional Provisions) Act 1997.